Did Tesla Just Move The Crypto Market? Here's Why Bitcoin Is Falling

What Happened: At the beginning of 2021, Tesla announced that it bought $1.5 billion worth of Bitcoin. The company also began accepting certain cryptocurrencies like Bitcoin and Dogecoin (CRYPTO: DOGE) for merchandise payments.

In the company's quarterly report Wednesday, Tesla announced that it has converted approximately 75% of its Bitcoin purchases into fiat currency. Conversions in the second quarter added $936 million of cash to the company's balance sheet.

Bitcoin turned sharply lower after Tesla's earnings report was released.

See Also: How To Trade Tesla Stock Before And After Q2 Earnings

$BTC Price Action: Bitcoin was down 2.66% over the last hour at $23,138 at press time. Despite the drawdown, the world's oldest and largest crypto is still up more than 17% over the last week.

Photo: Petre Barlea from Pixabay.

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